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Digi International Settles Patent Infringement Lawsuit

MINNETONKA, Minn. (April 22, 2013) – Digi International (NASDAQ: DGII) announced today the settlement of a patent infringement lawsuit with U.S. Ethernet Innovations (USEI), LLC, for $1.525 million. On May 29, 2012, USEI filed a lawsuit against Digi, which was amended on September 21, 2012, including allegations against Digi pertaining to the infringement of four patents related to Ethernet technology. The settlement fully resolves the claims by USEI for both Digi and end users of its products and requires Digi to make a one-time payment of $1.525 million to USEI with no further payment obligations going forward. Digi has recorded the agreed settlement in its second fiscal quarter 2013 results, which Digi expects to release on Thursday, April 25, 2013. Net of taxes, the settlement is $1.0 million and is expected to reduce reported earnings per diluted share for the second fiscal quarter of 2013 by approximately $0.04.

About Digi International

Digi International is the M2M solutions expert, combining products and services as end-to-end solutions to drive business efficiencies. Digi provides the industry’s broadest range of wireless products, a cloud computing platform tailored for devices and development services to help customers get to market fast with wireless devices and applications. Digi’s entire solution set is tailored to allow any device to communicate with any application, anywhere in the world. For more information, visit Digi's website at, or call 877-912-3444 (U.S.) or 952-912-3444 (International).

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